Utilities and communications provider Chess has made its fifth acquisition in as many months, with the purchase of Liverpool-based telecoms VAR Activ8 for an undisclosed amount.
David Pollock, chief executive of Chess, said he is committed to organic growth through the channel.
"The market is reasonably lively at the moment, and there are more acquisitions to come from us," he said.
"There is consolidation in the voice market, especially when it comes to line rental. Smaller resellers are realising they need to bill about £250,000 per month on rental, and they're either doing that or choosing to fry their fish elsewhere.
"Some look to just exit, while others have just looked to us to take over their customer base and manage it for them."
Earlier this month, Chess bought the customer list of entrepreneur.com. At the time, Steve Holmes, entrepreneur.com's chief executive, said his customers could now benefit from greater economies of scale that larger players such as Chess afford.
Other Chess acquisitions this year include deals with Eclipse Mobile and Eurocall Mobile.
John Carter, managing director of BT distributor DMSL, said it makes sense for smaller companies to get out of the market because fixed margins are being squeezed.
"What's happening is that BT, the market leader, is having a major impact on prices. Business Plan [BT's business call pricing] is about to come in at a very aggressive price point," he said.
BT introduced Business Plan to counteract aggressive price-cutting from competitors last year.
"Everything is being squeezed at the bottom end, and companies such as Cable & Wireless and Colt claim their market is tough at the moment," Carter added.
"BT is seeing a decline in its fixed-line business, and there are lots of take-overs in the mobile phone market. One reason the market is consolidating is margins. You need to double margins just to stand still."
Pollock said that he still sees the fixed-line market as being where the interest is. "Our core product is telecoms; that's now driving the business forward with mobile as a supporting product," he said.
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